Inferring from Seven BSE Indices ~ Sensex 30 ~ BSE 100 ~ BSE 200 ~ BSE 500 ~ Midcap ~ Smallcap ~ BSE IPO

Inferring from Seven BSE Indices ~ Sensex 30 ~ BSE 100 ~ BSE 200 ~ BSE 500 ~ Midcap ~ Smallcap ~ BSE IPO

Scrip Standpoint ~ Inferring from the BSE Indices

Observations and Comments are given below but for a detailed historical data table of seven BSE Indices over the years including our beloved Sensex,please do visit

Scrip Standpoint ~ Inferring from the Indices on www.jsalphaa.com at Inferring from the BSE Indices ~ 11-Jan-2013

  1. Sensex 30 & BSE 100 have given similar CAGR of @ 14.4 % in 22 years
  2. Wider Index BSE 200 has given lower CAGR of 12% over 21 years
  3. More Comprehensive BSE 500 has given lower CAGR of 11.8% in 13 Years
  4. Small Cap and Midcap Indices have given similar 13% CAGR over 9 years
  5. IPO Index has been a poor performer at CAGR of 7% in 8 Years

Four Major Inferences one can draw from the above Performance of the Indices are

  • From 1 above we realise that Sensex Investing has given us higher returns over time than from Safe Fixed Returns Avenues like Bank Deposits
  • From 1 to 3 above we can infer that Concentrated Large Cap Investments have performed better than Diversified Investments
  • From 4 above we can assume that it made little difference whether one invested in small cap or mid cap
  • 5 above points to either IPO Overpricing or Poor Quality of IPOs that underperformed on bourses or both ~ Companies taking advantage of Bull Markets & Gullible Public
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